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Clarifying the answers to the two misconceptions: 1) “Depositors shouldn’t get anything beyond the insured $250,000” and 2) “This is a bailout” FDIC pays out t
by ScoobleDoodle 4y ago
Clarifying the answers to the two misconceptions: 1) “Depositors shouldn’t get anything beyond the insured $250,000” and 2) “This is a bailout”
FDIC pays out the $250,000 insurance to SVB depositor accounts. FDIC recoups those costs from the SVB assets, and then pays out depositor account holders as much % as possible from liquidating the remaining SVB assets. It sounds like the latter will be disbursed in several increments as the assets are liquidated. All of that assuming no buyer by Monday.
If there is anything left after depositors are made while, then that might go to shareholders.